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Gouverneur Bancorp Inc (OTCPK:GOVB)
Intrinsic Value: Projected FCF
\$0.00 (As of Today)

Since the intrinsic value calculations based on Discounted Cash Flow Intrinsic Value: DCF (FCF Based), or Discounted Earnings Intrinsic Value: DCF (Earnings Based) cannot be applied to companies without consistent revenue and earnings, GuruFocus developed a valuation model based on normalized Free Cash Flow and Book Value of the company. The details of how we calculate the intrinsic value of stocks are described in detail here.

As of today, Gouverneur Bancorp Inc's projected FCF intrinsic value is \$0.00. The stock price of Gouverneur Bancorp Inc is \$17.00. Therefore, Gouverneur Bancorp Inc's Price to Intrinsic Value: Projected FCF Ratio of today is 0.0.

Definition

Since the intrinsic value calculations based on Discounted Cash Flow Intrinsic Value: DCF (FCF Based), or Discounted Earnings Intrinsic Value: DCF (Earnings Based) cannot be applied to companies without consistent revenue and earnings, GuruFocus developed a valuation model based on normalized Free Cash Flow and Book Value of the company.

The details of how we calculate the intrinsic value of stocks are described in detail here.

This method smooths out the free cash flow over the past 6-7 years, multiplies the results by a growth multiple, and adds a portion of total equity.

Value = ((Growth Multiple)*Free Cash Flow(6 year avg) + 0.8*Total Equity(most recent))/Shares Outstanding

In the case of negative total equity, the following formula is used (see the Total Equity section for the reason):

Value = ((Growth Multiple)*Free Cash Flow(6 year avg) + Total Equity(most recent)/0.8)/Shares Outstanding

Here Gouverneur Bancorp Inc's FCF(6 year avg) is calculate as

Gouverneur Bancorp Inc Quarterly Data

 200603 200606 200609 200612 200703 200706 200709 200712 200803 200806 total_freecashflow -0.86 0.29 -0.18 0.7 -0.98 0.61 0.18 0.74 -0.27 2.35 200309 200312 200403 200406 200409 200412 200503 200506 200509 200512 total_freecashflow -0.01 0.63 -0.4 0.69 0.08 0.72 0.46 1.72 -3.88 1.74 200209 200212 200303 200306 total_freecashflow 0.2 0.28 -0.03 0.85

Add all the Free Cash Flow together and divide 6 will get Gouverneur Bancorp Inc's FCF(6 year avg) = \$0.94.

Gouverneur Bancorp Inc's Intrinsic Value: Projected FCF for today is calculated as

 Intrinsic Value = (Growth Multiple * Free Cash Flow(6 year avg) + Total Equity(Jun08) * 0.8) / Shares Outstanding = (10.993856732 * 0.9355 + 20.821 * 0.8) / 2.301 = 11.71

* All numbers are in millions except for per share data and ratio. All numbers are in their local exchange's currency.

Explanation

The growth multiple is capped between 8.35 and 17.74.

Total equity weighting is more art than science and it should always be revisited in more detail when researching a company. Weightings from 0% to 100% to more than 100% are possible. 80% was chosen as a happy medium after taking the above ideas into consideration. Learn more here.

Gouverneur Bancorp Inc's Price to Intrinsic Value: Projected FCF Ratio for today is calculated as

 Price to Intrinsic Value: Projected FCF = Share Price / Intrinsic Value: Projected FCF = 17.00 / 11.708627976 = 1.45

* All numbers are in millions except for per share data and ratio. All numbers are in their local exchange's currency.

Related Terms

Historical Data

* All numbers are in millions except for per share data and ratio. All numbers are in their local exchange's currency.

Gouverneur Bancorp Inc Annual Data

 Sep98 Sep99 Sep00 Sep01 Sep02 Sep03 Sep04 Sep05 Sep06 Sep07 Projected FCF 0.00 0.00 0.00 0.00 0.00 0.00 0.00 13.48 15.29 16.59

Gouverneur Bancorp Inc Quarterly Data

 Mar06 Jun06 Sep06 Dec06 Mar07 Jun07 Sep07 Dec07 Mar08 Jun08 Projected FCF 0.00 0.00 15.29 0.00 0.00 0.00 16.59 0.00 0.00 0.00
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